Event organiser Surfing SA chief executive officer Steve Reddy said he was not yet able to make a statement about the financial

situation, when contacted by The Islander on Tuesday.

Member for Finniss Michael Pengilly said he heard concerns from island businesses three weeks ago. He notified government

officials but after no action he decided to go public.

“It appears Surfing SA has failed to pay many

accounts. I am aware of at least $144,000 owing and there may be more. The government was very

vocal in announcing and supporting the event and I strongly supported it,” Mr Pengilly said.

“However, now the government should pay the bills and recover the amounts from the event organisers. Small businesses urgently need the cashflow and if the event is held again this year local business providers will be reluctant to provide their services after this debacle.

“This matter will leave a bad taste on what was a great event,” he said.

SATC’s general events manager Hitaf Rasheed said SATC was a sponsor of the event; it was not the owner or organiser of the event.

“Surfing SA was responsible for all event management, including financial management,” Ms Rasheed said. In addition to cash sponsorship, SATC provided some marketing and operational support “to help establish the event in its

initial year”.

“It was not until after the event that we were made aware of any shortfall in Surfing SA’s budget. We then sought a detailed breakdown of all of the

creditors and we now know there are businesses on the island which have not been paid,” she said.

“The SATC is talking to Surfing SA to see how we can work with the organisation, its other sponsors and the sport’s national governing body to help it meet its liabilities.

“We have advised Surfing SA that, as the major sponsor, we are going to review the management of the 2011 event,” Ms Rasheed said.